A web of firms that sold carbon credits to vulnerable investors at inflated prices has been shut down in the High Court on grounds of public interest. Eco-Synergies Ltd bought credits for 65p each, selling them to investors via other firms for up to an 869% profit. A carbon credit is a tradable certificate that allows a company to emit a tonne of carbon dioxide. The Insolvency Service, which brought the action, said investors "were offered hot air by callous" people. The credits were sourced by Eco-Synergies at a cost of £2.3m and then marketed, using false and misleading claims, through 12 companies and raised a total of £19m.
Inflated prices Chris Mayhew, company investigations supervisor at the Insolvency Service, said: "The credits were sold at such inflated prices that an unnatural increase in value would be required before investors could break even, let alone see a return on their investment......Read more here